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M&A and Subsidiary Changes7122THE KINKI SHARYO CO.,LTD.Automobiles and transportation equipment

Notice Regarding the Transfer of Fixed Assets and Recognition of Extraordinary Income (Gain on Sale of Fixed Assets)

A US factory owned by a consolidated subsidiary will be transferred for US$26 million, and a gain on the sale of fixed assets of approximately ¥2.4 billion is expected to be recognized as extraordinary income in the fiscal year ending March 2027. The company will sell the site, where no increase in utilization is expected, and consolidate and streamline its North American operations.

Worth reading
43Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Improvement
Direction inferred from the company’s description.
Scale
24
¥100 million (gain on sale of fixed assets, approximately)
Wording
Avoiding a definitive answer
How definitive the wording is.

This transaction

Disposal of Fixed Assets
CounterpartyDIG BRICKYARD CRANBURY LLC
Disclosing companyTHE KINKI SHARYO CO.,LTD.
Subject of this transaction
TimelineThe spacing between the points is proportional to the actual number of days.
Consideration and expenses
Acquisition priceUS$26 million (transfer price)
Amount of extraordinary income (loss)Gain on sale of fixed assets of approximately ¥2.4 billion, scheduled to be recognized as extraordinary income in the financial statements for the fiscal year ending March 2027
Impact on Business Performance

A gain on the sale of fixed assets of approximately ¥2.4 billion is scheduled to be recognized as extraordinary income in the financial statements for the fiscal year ending March 2027. Although this will result in higher profit than the gain on the sale of fixed assets already incorporated into the earnings forecast, the company is currently assessing the impact, including the effects of the fire.

This transaction
ItemDetails
Transaction nameDisposal of Fixed Assets
Counterparty nameDIG BRICKYARD CRANBURY LLC
Acquisition priceUS$26 million (transfer price)
Amount of extraordinary income (loss)Gain on sale of fixed assets of approximately ¥2.4 billion, scheduled to be recognized as extraordinary income in the financial statements for the fiscal year ending March 2027
Impact on Business PerformanceA gain on the sale of fixed assets of approximately ¥2.4 billion is scheduled to be recognized as extraordinary income in the financial statements for the fiscal year ending March 2027. Although this will result in higher profit than the gain on the sale of fixed assets already incorporated into the earnings forecast, the company is currently assessing the impact, including the effects of the fire.
Date of board resolution16 October 2026 (written resolution)
Execution Date / Effective Date26 October 2026 (property handover date)
Items this document does not state (25)
Name of the Subject CompanyBusiness Description of the Subject CompanyLocation of the Subject CompanyCapital Stock of the Subject CompanyDate of Establishment of the Subject CompanyNet Sales of the Subject CompanyOperating Profit of the Subject CompanyNet Income of the Subject CompanyNet Assets of the Subject CompanyExpenses other than the acquisition priceType of ConsiderationMerger ratio/share exchange ratioTender offer priceMinimum number of shares to be purchasedTender offer periodNumber of shares acquiredVoting rights ownership percentageFunding arrangementsGoodwill amountContract DateValuation methodologyIndependent valuation institutionSpecial CommitteeConditions Precedent to ExecutionManagement structure after acquisition

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

As part of the initiatives under the Medium-Term Management Plan 2028, we will transfer fixed assets for which higher utilization cannot be expected and consolidate our locations in order to improve the efficiency of our North American business.

How to read this page

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Notice Regarding the Transfer of Fixed Assets and Recognition of Extraordinary Income (Gain on Sale of Fixed Assets) | THE KINKI SHARYO CO.,LTD. (7122) timely disclosure | Komori